Carolyne Nasimiyu v Agricultural Finance Corporation Limited [2020] KECA 312 (KLR)
The bottom line
#Kenya's Court of Appeal confirmed that a fixed-term job contract that simply expires is not 'termination', and written contract terms cannot be changed by verbal promises.
What this practically means
#Executive summary
#Key legal issues
#Applicability of the Employment Act, 2007 to a pre-existing contract
The Act does not apply to contracts that had expired before it came into force
The 2007 Act came into operation on 2nd June 2008, but the appellant's contract was entered into on 14th December 2006 and expired on 29th January 2007. Following Kenya Tea Development Agency v Lee Kimathi, the relationship was regulated by the repealed Employment Act, so the trial and first appellate courts did not err in failing to apply the 2007 Act.
Effect of failure to consider written submissions on the validity of a judgment
Failure to consider submissions does not per se render a judgment null and void
The court gave the appellant the benefit of the doubt that her stamped submissions were on record, but held that fair hearing depends on the circumstances of each case. The learned judge re-evaluated the evidence and considered the grounds of appeal, reaching an independent conclusion, so there was no violation of Article 50(1).
Termination of a fixed-term contract by effluxion of time
A fixed-term contract that expires by effluxion of time is not terminated, and no notice pay or post-expiry wages are payable
The appellant's contract expired on 29th January 2007 before she returned from maternity leave on 30th March 2007. As the respondent did not dismiss her without notice, no payment in lieu of notice was payable; and in the absence of a subsisting contract, no wages could be claimed for days allegedly worked thereafter.
Legitimate expectation and parole evidence
Legitimate expectation requires proof of a representation or promise, and oral evidence cannot vary written contract terms
The appellant produced no evidence that the respondent promised to pay her the initial monthly salary or to treat her differently from the written contract. Being a lawyer, she accepted and signed the contract; her oral evidence could not be used to modify its express written terms.
Legal principles established
#- The Employment Act, 2007 does not apply retrospectively to employment contracts entered into and terminated before it came into operation on 2nd June 2008
- Failure by a court to consider a party's written submissions does not per se render the judgment null and void; whether a party was fairly heard depends on the circumstances of each case
- Courts will not accept parole evidence to vary, alter or modify the written terms of a contract
Court orders
#- 1.The appeal is dismissed with costs to the respondent
- On appeal from
- High Court of Kenya at Nairobi
- HCCA No. 133 of 2011
- Jurisdiction invoked
- Second appeal from the High Court in exercise of the Court of Appeal's appellate jurisdiction under the Constitution and the Appellate Jurisdiction Act
Key timeline
#Practical implications
#Frequently asked questions
#Later judgments citing this (2)
#Judgments in the corpus that rely on this one. Where the Court said how it treated the authority, that is shown.
- Koppert Biological Systems Ltd v Chege (Civil Appeal E027 of 2020) [2026] KECA 1123 (KLR)[2026] KECA 1123 (KLR)12 Jun 2026
- Nambwaya v Egerton University (Cause E003 of 2022) [2024] KEELRC 994 (KLR)[2024] KEELRC 994 (KLR)16 Apr 2024
Cite this brief
#Cite this brief
Caselaw, "Carolyne Nasimiyu v Agricultural Finance Corporation Limited [2020] KECA 312 (KLR)", Case Analysis (2020). Civil Appeal No. 429 of 2018. Source: https://new.kenyalaw.org/akn/ke/judgment/keca/2020/312/eng@2020-10-09
Suggested citation format for research notes or client memos. Always verify the original judgment before relying on any point.